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In Williamsburg, real estate troubles follow declining enrollment

Built for Williamsburg Charter High School, the eight-story building has a fitness center and a two-story rock climbing wall. It's for sale for $30 million.

The owner of a brand-new school building in Williamsburg is putting it on the market for $30 million after its tenant, the Williamsburg Charter High School, failed to pay rent.

According to a real estate listing for the property, which sits on Varet Street in East Williamsburg, the charter school needed to enroll over 1,000 students this year in order to cover its annual $2.3 million rent. But the school — one of three managed by the Believe High Schools Network — fell short, enrolling only 850. The listing states that enrollment suffered because of construction delays, which pushed the school’s move-in date back by a year and caused school to begin three weeks late this year.

“Understandably, the delay of the move and of the start of the school year led to some families choosing not to enroll their students after the lottery or to transfer,” wrote Believe High Schools Network spokeswoman Jacqueline Lipson in an email. “We also lowered enrollment for incoming students during that transitional time.”

Like traditional public schools, charter schools receive money based on how many students they enroll, so when Williamsburg Charter lost students, its budget shrank. According to the 2009-10 audits of the Believe network’s three high schools, the network also spent more money per-student than it received from the state.

Charter schools were given about $12,400 per-student from the state last year and Williamsburg Charter spent over $16,000 per-student. It spent more per-student at its two other charter high schools, which are located in a district school in Williamsburg. These two new schools, Believe Northside and Believe Southside, did not take in any private donations, but Williamsburg Charter received $37,000 in philanthropic contributions.

Lipson said Williamsburg Charter will remain in the building next year — the school has signed a 30-year lease.

The school “has an overwhelming amount of preliminary applications and is confident to enroll a sufficient number of students for a profitable next year,” the listing states.

Asked why he was selling the building, owner Paul Grossman said he needed the money. Grossman, who build the Varet Street building for the charter school, would not comment on Believe’s finances.

This is not the first time the Believe network has become entangled in real estate problems. Last summer, we reported that that the city and state education departments were investigating the network for holding classes at a facility that was only approved for factory and office use.

President of the New York Charter Parents Association Mona Davids said the school’s reputation was keeping enrollment down, not construction. Though two of Believe’s high schools opened too recently to have progress reports, Williamsburg Charter got a D on its report last year and a C the year before.

“I think word is starting to get around that it’s not a good school and it’s not a good network,” Davids said. “I guess parents are starting to vote with their feet.”

  • Ticked-Off Taxpayer

    This is the same outfit that was ready to pay its students $100 for every new student they could find to enroll … and stay at least half the year! Guess parents just didn’t “Believe.”

  • Beigewhale

    Ms. Davids is like Haliburton. Where ever there is a mess you find her fanning the flames. Gossip = news. 2 sources (unconfirmed) = a “news” worthy story. Media Bullpen, what’s your rating of GothamSchools? Ms. Davids, good job getting PAs added to Charter Law. Those are working so well at traditional public schools.

    Where are the solutions! Loudest person with juiciest gossip gets the prize!

  • Michael Fiorillo

    One of the unspoken dynamics driving charter school proliferation in NYC is real estate and gentrification, whether it’s HSA taking over public facilities and colonizing Harlem (and currently expanding its brand into wealthier neighborhoods such as the Upper West Side, or developers working with charter interests. In this case, the economic crisis seems to have interfered, but the model seems to be emerging by way of their behavior. Just as poor and working class families are being pushed out of these neighborhoods, so too will the charter schools being marketed by the DOE and developers reflect that.

    These schools already cherry pick their students, whether on the front or back end, but how long before the current populations of these neighborhoods are pushed out and replaced by students from more affluent families? After all, behind the curtain of hype and test-marketed slogans, it’s all about expropriation and displacement, of communities,teachers and students.

  • NYCparent

    Ay — I don’t do Twitter — what are these “reactors” saying?!

  • Really people

    “cherry pick” prove it. “gentrify” prove it. really, what are you basing this on. look at a map. I just googled it, it’s that easy. how is a school located across the street from public housing gentrifying by providing another option to local students? the propaganda is so boring whether fake progressive or openly conservative. Insert your choice of buzz words like gentrifying or cherry pick and convince yourself you’ve done your anti-racist activist deed for the day. getting the facts is time consuming, i know, but it’s worth it. charter bad, public school good, it doesn’t really work that way. eloquence is not a substitute for reality based information.

  • Chess

    Does anyone believe this story put out by the charter school. Their enrollment is the same as last year. https://www.nystart.gov/publicweb-rc/2010/70/AOR-2010-331400860865.pdf. You can see their enrollment pattern here. Why would they possible expect to grow. Enrollment was not “down” as the spokesperson claims. Perhaps they can save money by not having a “spokesperson”

  • Anonymous

    Really People,

    Thank you for complimenting me on my “eloquence.”

    Now, as for facts:

    - Regarding the huge differences in populations served by charter schools and local public schools, a marker for cherry-picking: http://voices.washingtonpost.com/answer_sheet/charter-schools/about-the-brill-story

    - And regarding high attrition rates and cherry picking on the back-end: http://policyweb.sri.com/cap/publications/SRI_ReportBayAreaKIPPSchools-Final.pdf

    As for gentrification in Harlem and Williamsburg, given its self-evidence to anyone who’s lived in the city for any length of time, I can’t believe that even needs to be documented. But if it makes you happy, here:

    - On Harlem: http://www.nytimes.com/2010/01/06/nyregion/15nycensus.html

    - On Williamsburg: http//www.nytimes.com/2010/10/25/nyregion/15census.html

    As for the building in the GS article being next to the projects, so what? Public housing, which traditionally has been better supported and maintained in NYC than almost anywhere else in the country, is being purposefully neglected, in the same run-up to privatization (Geoffrey Canada and HCZ in Harlem) and obliteration (New Orleans, Chicago, et.al.) in the run-up to terminal gentrification. Here are some facts on that one: http://www.nytimes.com/2010/nyregion/25/repairs.html?_r=1&emc=eta1

    And it’s not public schools good, charter schools bad; it’s public schools under siege, charter schools dishonestly pushed by oligarchs with a self-interested agenda.

  • bored in willy b already

    OK already Gotham Schools you and your cronies have become the ENQUIRER of real school news …been following this schools bashing and misinformation campaign from what it appears to be a small group of anti WCHS fanatics who have enlisted gotham schools in their campaign

    Have you been to this building? Have you seen the students hard at work and the teachers and staff? Have you seen the magnificent design and vsision in this place? The environment that has been created in a poor under represented neighborhood with crap for facilities? Great ideas and change require great pain and struggle and yes this place has struggled but go to the bodegas and the beauty parlors walk the streets of this neighborhood talk to the people of this community and ask them…gotham and ms davies this place is the saving grace for hundreds of families of color who have no opportunities for their children whose children wind up with no schools after choosing out of 12 in the citys crazy lottery system how about gotham see how it can help this community of a thousand strong with hundreds of families at stake that cant send their kids to long island schools to get even a slither of the education their kids are
    getting here

    enough already how about you report on the over 100 students with special needs at his school that no one else wants and the incredible job those teachers and students are doing better yet why dont you report on how democracy prep skims for their special ed students or how harlem childrens zones board wont allow replacement students when there is a vacancy to protect their integrity

    oh right…WCHS has no fat cat wall street hedge fund backing i forget this has all been a small group of committed lifelong community people trying to do the right thing for their young people right no fancy foundations have come to their rescue here just pure reslience and wave after wave of detractors i detect a bit of institutional racism from all you elitist at gotham and co….

    Get the story right get some real reporters get some real facts that a building , a community jewle like this even happened is miraculous you guys should be ashamed

  • Amen

    Amen Amen Amen finally lets get down to brass tacks…..where do gotham schools staff send their children to school? How many people of color are on the gotham schools staff how many struggled to get a good education or lived in communities like bushwick bed stuy east new york and Williamsburg enquiring minds want to know….hey can we look at harlem success twenty boards composition capital this capital that same chair for three baords hey that sounds like a story

  • Current BELIEVING Parent

    The only people these false reporters and enquirer wanna bees (cause let me tell you the enquirer is looking better and better after i see what gotham s agenda really is ) and gossip mongers are helping with all this trash are the charter detractors and haters

    The losers all the magnificent staff teachers leaders administrators at believe and co busting their humps on a daily basis to make it happen for students gotham doesnt give a crap about as a matter of fact no one gives a crap about like the scores of students who have fled gang infested unsafe schools like grover clevland and murray bergtraum

    The losers all the students making their way daily to this little bit of light on varet street with hope for their future trying to get a decent high school edcuation in a system that has failed them over and over

    Go Gotham…..your priorities are RIGHT ON!

  • Hahn Scott

    The students, parents and staff love the school and it’s mission, the atmosphere lends itself to engaging and enriching the educational experience. The school is performing better now will continue to do so in the future. The future results will tell the real story. As for Ms. Davids, I wouldn’t be so dismissive of the school just yet, you will be proven wrong – and you should be happy that you will be – if your heeart in s in the right place and you actually care about the STUDENTS, not any agenda of your own. The owner selling has no bearing on any of this. This is a ground breaking school and facility and if that makes the people who are against Charter Schools nervous – so be it. The school is definitely not “gentrified” if anyone bothers to look at who comprises the student body.

  • Wish I could Believe You…

    The reality is this school (well, the leader(s) of the school — it’s certainly not the kids’ or the teachers’ fault) has done enough to make it’s own enemies. They have a nasty habit of firing teachers without appropriate cause, and that violates a delicate trust that charter school teachers put in their administrators. When you bust your hump for the kids and the school, only to be told that you won’t have a job in January, it’s pretty easy to be pissed off (and stay that way).

    Not to mention, there have been a litany of other mismanagement issues that have come up over the years that have demonstrated the major issues at the top.

    There are charter schools that are successful, and those that are not — and there are PLENTY of issues to talk about surrounding the ones that are “successful” as well, which you accurately point out — but unfortunately, this school is simply not run well enough, and the children and teachers suffer. Be it lack of job security, moving buildings at the last minute, poor parent communication, starting the school year three weeks late, or having to walk a half mile to get to art class, these are frustrations with which students (and parents / teachers) should not have to deal, and this educational community is regularly harmed as a result. If this was the ONLY issue at the Believe Network, I’m sure people would be talking about it differently.

  • Williamsburgrocks

    OH my athena apostolu! perhaps if you were a better teacher, or managed your class better or didnt sleep with so many staff people oops or have your nude “art” photos available for students to see on your computer perhaps you may still have a job pity poor you…the school kept the best and got rid of the rest

  • BeliefStartsWithTheChildren

    Not surprised. This school was engaging in tactics such as use money to attract students. I know when I went to school my parents choose schools that ACTUALLY had a solid academics opposed to getting $100 for RECRUITMENT efforts. We need true transparency!!! It not fair to the actually charters or district schools that are ACTUALLY teaching students and growing them into bright pupils. RGA, ENYP,have failed their students. It’s a shame that parents are not seeing the big picture and put pressure on the school’s adminstration before its too late. When will these big entities of charters such as BELIEVE will put the needs of the children first. This is not the land of make believe, this is the generation that will take the reigns after our generation and they deserve EVERY fight chance to become the best they can be! Education is the key!!!!!!

  • really people

    MF
    You further prove my point. Those links you post are not “news” sources. It’s still propaganda and can all easily be PROVEN inaccurate. There is now site dedicated to analyzing the accuracy and validity of these “reports” because they themselves need investigating. They all have editors and use two sourced, unconfirmed nonsense. They do after have a bottom line as well and must sell papers/ad space.

    Charters enroll via lottery, public schools via KPMG or whatever vendor manages the logarithms that assign enrollment. Spend just one day at either entity or in an actual classroom. This Williamsburg school is (reasonably approximating from SED site) 75% free/reduced lunch 60% Latino 30% African American. So again, PROVE “cherry picking” and “gentrifying” without using questionable sources. The most valid source you site is your own experience living in NY. Gentrification is real but blaming this school or others is simply and completely wrong.

    I suggest you pose a solution unless you feel safer just encouraging angry and ineffective “debate”. Or maybe you represent the majority of people who comment on this site; bored, not so busy critics who aren’t actually doing ANYTHING to solve the problem. Teachers deserve better treatment by all of us. Your repetition of the same fake liberal nonsense in the end, hurts the teachers, students and families at this and other schools. Remember the sweeping statements you make are not innocuous just because you convince yourself you are aiming at the “man”. I am guessing noone is actually oppressing you but YOU.

  • Michael Fiorillo

    Really People,

    I’ll start with the final part of your comment: my solution is 1) the full time teaching and service I have performed for the children of NYC over 14 years, and 2) my efforts to inform people about the destructiveness of corporate education reform, and in particular the dangers of charter schools as a policy response to the (many) shortcomings of education in the US.

    Back to the beginning: how are articles from the Washington Post and New York Times not “news” sources? The Post item was Valerie Strauss reporting on Leonie Haimson’s work that shows that charter schools do not enroll the same populations as local public schools.

    Both Times pieces were news reports on the changing demographics (after all, that’s what gentrification is, no?), based on US census data, of Harlem and Willamsburg.

    The SRI link was to a report funded by the Hewlett Packard Foundation about KIPP schools in the Bay Area. This report was largely sympathetic to KIPP, but it nevertheless contained devastating data about student attrition – attrition that is not compensated for by new enrollees – that calls into question that corporate chain’s claims of success.

    The final Times article about deteriorating maintainance in NYC public housing was to document the disinvestment in housing for the poor that is pandemic in the US, and that is tied to the (anything but “natural” and “organic”) increasing income inequalities and decreasing diversity in cities like New York.

    As for my claims about charter schools being connected to gentrification and displacement of poor and working class communities, that was a general statement that was not directed at the Believe charter school per se. Nevertheless, what do charter managers intend to do as the neighborhoods they inhabit rapidly gentrify? Correlation may not be causation, but it certainly is interesting that these schools are proliferating while the neighborhoods they inhabit get progressively whiter, as does the teaching force.

    You have the typical charter supporter’s chutzpah of talking about the independence of charters and the corporatization of the DOE, while somehow ignoring the fact that both are the result of Bloomberg policies. How can you seriously criticize anything done by the patron of your precious charter schools? The corporatization of the public schools is inseparable from the proliferation of charters, being done to undermine the former and subsidize the latter.

    As for my “liberal” nonsense, I wish liberals felt as I did. One of the dillemmas facing supporters of public education is that too many self-identified liberals are mainlining the ed deform kool-aid, and accepting the Big Lie that teachers are the source of so many social problems, and must be subject to the same managerial (by managers with little or no experience in the field, yet) domination.

    Then again, I shouldn’t be surprised. After all, it was David Halberstam who showed us how the “Best and the Brightest” can often lead the country off a cliff.

  • Imari B.

    This article is not about what ATHENA APOSTOLU, and to disrespect her on this forum is inappropriate and should not be included in a conversation meant for intellectuals who actually know what they are talking about and not for ignorant individuals who just need somewhere to showcase their stupidity. Take that garbage to myspace

  • Really people

    You are simply misdirecting your anger at one charter school in this story. Not helping. That’s it. If it’s kids and families you claim to care about you then don’t hurt them by adding fuel to the fire by posting on here. Keep teaching, run for office, read lots of newspapers but don’t attack specific charter schools because they consist of teachers, students and families. Pretend they don’t but they do. Best thing you did here was take back your accusation against this school. If you are in fact a teacher than you know that charters are no more “corporate” than traditional public schools. You’d likely demonize the school for using “doe space” so they try something everyone is demanding they do and still you shout. Is it possible that this school is not data hungry, not tied to any hedge fund, not making staff work obscene hours, not making any profit, answering to a board made up of community members and parents? What about that fits your precious definition of corporatization? It doesn’t work. My cause is neither charter nor unionized public. I think that is the difference. My cause is the people who are trampled on by this neverending debate. I am angered by the carelessness with which actual people are demonized and affected by the stereotyping both sides are guilty of.

  • Really people

    GothamSchools should remove posts attacking individuals not choosing to comment in the article.

  • Anonymous

    Really People,

    My “anger” has never been directed at this particular school, for as you well know I was addressing the general issue regarding charters from my first comment, one that deserves more attention.

    As for the qualities you claim for Believe, I’ll grant you every one of them and still contend that 1) they does not override the public policy issue regarding charters, and 2) independent mom-and-pop charters are being used as a Trojan Horse to undermine the public schools, and when have served their purpose, they too will be closed or absorbed by the chains, based on either budgetary or pedagogical reasons. They won’t be able to withstand the inevitable pressures to scale up, merge or disappear.

    The business model that allowed them to come into existence about will be the same one that consumes them.

  • Ex-Charter School Teacher

    The below person replied, “Is it possible that this school is not data hungry, not tied to any hedge fund, not making staff work obscene hours, not making any profit, answering to a board made up of community members and parents? ”
    Are you referring to WCHS? Really? Seriously? How much does the CEO make per year? How many hours do the teachers clock?

  • Really people

    “their behavior” there in black and white.

  • ASTRAKA

    Really people,
    You write: “I am angered by the carelessness with which actual people are demonized and affected by the stereotyping both sides are guilty of.”

    You are not the only one angered. The preponderance of attacks are directed against teachers and public education.

  • ev

    This stirng of comments should not become a debate over the relative worthiness benefits of the charter school movement as it detracts from the disaster that this network is, and has been since the day the school opened 7 years ago. One man’s “bold vision” may appear on its surface as “noble” and visionary” in the form of a 10 million dollar building that they had no business ever trying to move into. How many jobs have been lost becasue of the decision to move into a building that was beyond the means of WCHS form the onset. How about 17 teachers being fired mid-day, mid-year, only a few months into the school year after the school could not make payroll…is that responsible…is that visionary…how about the kids whose education was comprimised when school opened close to a month later than evcery other student in the state of new york. Tell those kids who missed a months’ worth of curriculum and who graduation is now in jeopardy because of the blatant fiscal mismanagement on the part of the Believe network. Take a look at the salaries that the administration and CEO of the believe network are paying themselves despite their financial crisis which has nprevented them from paying rent. Here’s and idea…instead of firing teachers and not making you rent payments…how about cutting some of your six figure salaries for you and your chronies. What a joke this place is.

  • Wish I could Believe You…

    TRUTH! “Really People” and Mr. Fiorillo, there are loads of other threads to discus the merits and problems surrounding the charter school movement. This school should be recognized separately from that discussion. Ironically, the charters that seem to catch the most flak are those that are somewhat successful — of course, I recognize that they may be successful using questionable practices — but demonstrably unsuccessful charters seemed to be ignored. The successful charters act like they don’t exist, and supporters of TPS generally seem to focus on the validity of the successful schools (again, not necessarily unfairly).

    Again, this issue seems rarely discussed — charters are, at their core, experiments in education. Some seem to work, and some, like WCHS, very clearly do not. The only real check on that is some weird capitalistic “vote with your feet” for parents, which is incredibly unfair to students: asking a parent to determine which school is effective, then removing your child from the school is of course educationally traumatic for the students involved. The fact that the city/state can’t seem to do anything other than sit by idly while the school fires teachers and staff members crazily, starts school three weeks late, and deals with massive financial mismanagement etc, is a testament to the complete lack of accountability that the school faces after day one.

    Finally — if you haven’t taught/worked there, you don’t really know how bad it is. Everything negative you read — painfully and shockingly true. Teachers who leave can’t help because you can’t unionize from the outside, the city really doesn’t seem to care, and if you still work there it’s pretty terrifying (especially in this job market for young teachers) to put your job on the line to try to organize.

    The core is there — when I taught there, there were a great group of teachers there who cared deeply about the students. But they clearly did their job DESPITE the forces from above: a recipe for disaster, especially without a union.

    (Also, it was suggested earlier that I was someone in particular…I’m not her!!! I would love to post my real name, but I would rather not associate myself with this institution via Google any further…)

  • WCHS student

    its not fair! every new school has problems you have to give it time to be good! i’m a junior in this school and i don’t think it should be closed or sold!! i love this school!

  • Independent thinker

    “hey can we look at harlem success twenty boards composition capital this capital that same chair for three baords hey that sounds like a story ”

    Can you clarify this? I don’t understand.

  • http://www.aboveremodeling.com/ NYC Contractor

    So sad to hear that a school can’t pay rent. I think there’s really something wrong with the economy and the government. Why can’t we help this school pay it’s rent! They should really be given a chance!

  • Julie

    “success is the key”

    – reyna 2009

  • Gala

    Like the Wizard of Oz, Eddie Calderon-Melendez, Believe Schools Network founder and CEO, hides behind his curtain, pulling levers at random, and governing by fear. He has created a climate of uncertainty and a culture of mistrust, which have pervaded these schools and have negatively impacted student learning.

  • Former Teacher

    As a former teacher of the WCHS, I encourage you all to seperate yourselves from the “charter debate” and do some investigative work on the history of the WCHS, Eddie Calderon-Melendez, the mismanagement of allocated funds, high percentages of unwarranted teacher dismissals, high principal turnover, suspicious and unlawful behavior by the administration of WCHS and myriad other infractions. Simply Google “Williamsburg Charter High School” and “Eddie Calderon-Melendez”

  • Michael Fiorillo

    Former Teacher,

    You ask us to separate the charter debate from problems that you say are rampant at this school.

    But it is precisely issues like these – high student, teacher and administrative attrition, mismanagement, unlawful behavior, and more – that go straight to the heart of the charter debate. They are inseparable.

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